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RECEIVED <br />DEC 1 2 2006 <br />EXHIBIT G WATER INFORMATION Division of Reclamation. <br />Mining and Safety <br />The Taylor Gulch Basin is a 390 acre high elevation mountain watershed with limited <br />surface and underground water resources. Surface water flow is limited to spring snow <br />melt and rainfall events lazge enough to produce stream flow in the otherwise ephemeral <br />Taylor Gulch drainage. The steep (30°) slopes of Taylor Basin include approximately <br />35% granite rock and talus slopes on the eastern flank of the basin, 25% tree <br />covered(mainly aspen and Lodgepole pine, and the remaining surface high alpine turf <br />interspersed with stands of dead pine remnants from decades ago forest fires. The <br />western and northern slopes of the basin is predominantly steeply sloping alpine turf <br />terrain, with rocky soils and varying soil thickness and type, resulting in fair to good <br />percolation rates. Approximately 30% of the western slope of the basin is covered with <br />aspen and lodgepole pine stands. One active (Forest Road 228) and several inactive road <br />cuts traverse the slopes formerly accessing mine workings. Water flow(s) from former <br />mine workings were noted early in the summer months above the affected land <br />boundaries. All of these flows dispersed into the soil horizons directly below the mine <br />workings within a few tens of feet run, with the exception of one flow which continued to <br />run at one to two gallons per minute and crossed Forest Road 228 at about the mid point <br />of the western affected land boundary. The water flow percolates into the ground within <br />a few yards of run below the road crossing. <br />No year round surface water flows (stream flows) exist within the affected land <br />boundaries or within Taylor Basin. Taylor Gulch is an ephemeral drainage which flows <br />during times of spring snow melt and sizeable rainfall event. Underground water <br />resources are not well documented in that no monitoring wells or water wells have been <br />drilled in the basin. The gated mine adit entrance located at the south-eastem corner of <br />the affected land, just east of historic sediment basin in Taylor Gulch, is dry and shows <br />no sign of past water outflow. The one vertical shaft located within the mining azea <br />(third (upper }mine working bench, central to white mazble zone), is of unknown depth. <br />The structure is currently filled with broken marble rock from recent mining operations. <br />Intersection or impact of underground water resources at this site is not expected to <br />occur. <br />This operation is not expected to adversely impact surface or ground water resources. <br />This operation may operate closed wash plant systems at times in the future. Washing <br />systems aze not a preferred method of rock recovery operations and will be used only <br />after thorough exploration of other alternative systems for rock production. Should such <br />a system be employed at the site, water necessary for such a system will be acquired off- <br />site and hauled to the mine site Washing systems, if employed, will be closed systems <br />with a usage of less than 5000 gallons per day. This mine operation is intended to be a <br />zero discharge facility. No National Pollution Discharge Elimination System (NPDES) <br />permit is necessary for this operation. In the event that closed washing systems are <br />employed, water will be sourced from off site. <br />18 <br />